Sanbusco Market Center Sold at Auction to GE Capital Affiliate

Santa Fe’s Sanbusco Market Center was sold at auction to its lender. An affiliate of General Electric Capital Corp. bought it for $8.8 million, the value of the loan, thus ending 28 years of ownership by Joseph Schepps, according to the New Mexico Business Weekly.

An affiliate of General Electric Capital Corp. bought it for $8.8 million, the value of the loan, thus ending 28 years of ownership by Joseph Schepps, according to the New Mexico Business Weekly.

The new owner foreclosed on the shopping center at the end of May 2012, according to The New Mexican. The main factor that the former owner cited for the financial problems was the loss of the large Borders bookstore early last year. “We have unfortunately not been able to recover from the Borders bankruptcy and subsequent loss of our anchor tenant and the prolonged economic downturn,” said Schepps as quoted by the New Mexican.

A complaint for foreclosure was filed in May, according to which Sanbusco Corp. had been paying $91,785 a month on the loan, but has been in default since last August, and owed nearly $9 million in principal, interest, late charges and fees as of May 1.

Joseph Schepps developed the shopping complex at 500 Montezuma Ave. in 1984 after purchasing the century-old Santa Fe Builders Supply Co. property next to the Santa Fe Railyard. Anchored by shops like Bodhi Bazaar, Cost Plus World Market and Dell Fox Jewelry, Sanbusco has more than 20 stores, creating an interesting mix of local artisans and restaurants.

In other news, officials have broken ground on a new medical center to serve the Pecos area. Albuquerque Journal reports that the new 15,000-square facility will serve the 8,200 residents of the northern New Mexico community. The $3 million project is being funded by the Agriculture Department’s Rural Development’s Community Facilities program through an American Recovery and Reinvestment Act loan.